City Tattersalls Club revives plans for new tower

By Carolyn Cummins

7 February 2018 — 12:56am

The plans for a $200 million redevelopment of the City Tattersalls Club appear to be back on track following the resolution of financing and planning issues.

After a series of false starts, including a battles with the NSW Land and Environment Court, architects, former joint venture partners, and the appointment of Marcelo Veloz as CEO, the club has told members it is revising the proposal to use the airspace of the heritage building at 194-200 Pitt Street, Sydney.

The original plans included a 168-metre tower, which required the demolition of the existing building at 196 Pitt Street and the partial demolition of 194 and 198-200 Pitt Street, which included the removal and subsequent reinstatement of the club's Lower Bar, an art deco-style venue completed in 1924.

Former impression of the City Tattersalls Club, which is back on track to be developed in the Sydney CBD

The tower was to comprise a new-look club, a boutique hotel for club members and apartments. It is expected a similar design configuration will be presented.

It comes as the surrounding area of the Sydney CBD is undergoing a change with plans under way for Scentre Group and Cbus Property to redevelop the nearby David Jones Market Street store into an upmarket retail complex, also featuring apartments.

Advertisement

The challenge for the developers, owners and architects is to ensure the towers do not throw a shadow over Hyde Park.

City Tattersalls Club Chairman Pat Campion confirmed on Tuesday that plans were now progressing.

“We can confirm that City Tattersalls Club (CTC) has reached an enhanced development agreement with ICD Property that will allow ICD to lodge a new stage one development application for our Pitt Street premises,'' Mr Campion said.

“The new agreement reflects the increased value of CTC’s Pitt Street sites, and the need for a high level of consultation with all affected parties, as well as a fresh design approach.

''Work and consultation is underway to address all major concerns about the previous application and design. The Club hopes to have the new development application ready to lodge with City of Sydney Council in the first half of this year.''

Part of the agreement was to retire debt, with the club striking a new commercial deal to receive an interest-free loan from ICD Property of $20 million, which will repay the $19 million debt the club has with ANZ Bank.

Mr Campion says, in a letter to members, that this will save $150,000 a month in interest and principal repayment, from February.

''The new loan will be repaid when ICD gives the club $20 million payment as part of its cash contributions, later in the project,'' Mr Campion's letter says.

An information session is to be held with club members on Thursday, February 22. Architects FJMT have been selected and are also working on the design of a 200-metre-tall hotel and residential tower in Pyrmont, Sydney, for casino operator Star Entertainment Group.

Mr Campion said following the ''disappointing Land and Environment Court decision last year, we formed a new Property and Air Space Development Committee which included our new chief executive Mr Veloz''.

''We have reviewed the prior commercial deal with the assistance of KPMG Property and Colliers International and considered improvements to the deal, having regard to the substantially increased value of the club's property.''

A meeting is to be held between the club and ICD Property with ''key stakeholders including neighbours''. It will be conducted before the Stage 1 Development Application (DA) is submitted, which Citty Tatts anticipates will be presented to the City of Sydney Council by April-May this year.

It is expected that a Stage 1 DA will be achieved in early 2019, following which the design competition and Stage 2 DA process will commence.